Our experience in teaching commerce subjects, especially Accountancy, is in the form of this book in your hands. This book “Advanced Financial Accounting” is prepared for the New SEP syllabus requirements of Second Semester B.Com.
Being student friendly is the unique feature of this book. The subject matter has been presented systematically, which can enable the reader to master the topics covered, without any additional guidance. Most later provisions have been incorporated in this book.
Contents –
MODULE 1: Accounting for Limited Liability Partnership
Introduction – Meaning of LLP – Features of LLP – Merits and Demerits of LLP – Difference between LLP and Company – Differences between LLP and Partnership firm – Partners in LLP (Minimum no of partners, Designated partners, Eligibility) – Conversion from firm to LLP – Conversion from Private Co to LLP – Conversion from unlisted public company to LLP –Key aspects of LLP ACT 2008 & 2012 Books of Accounts: Format and contents of Balance Sheet – Format and contents of Profit and Loss A/c (simple problems).
MODULE 2: JOINT VENTURE ACCOUNT
Introduction – Meaning, Definitions and Features of Joint Venture – Differences between Joint Venture and Partnership – Accounting for Joint Ventures – Illustration on Preparation of Joint Venture A/c, Joint Bank A/c and Co-Venturer’s A/c.
MODULE 3: DOMESTIC BRANCH ACCOUNTS
Introduction – Meaning – Objectives – Types of Branches – Meaning and features of Branches – Dependent Branches – Independent Branches – Foreign Branches – Methods of Maintaining books of Accounts by Head office – Meaning & Feature of Debtor system, Stock & Debtor System, Wholesale Branch System and Final Account system – Supply of Goods at Cost Price & Invoice Price – Illustrations on preparation of Dependent Branch A/c- (Debtor system) and Independent Branch A/c (Final Account system with incorporating entries) in the books of Head Office.
MODULE 4: FOREIGN BRANCH ACCOUNTS
Introduction – Meaning & Objectives of Foreign branch – Features of Foreign Branch – Currency rates – Current rate, average rate, weighted average rate, historic rates – Methods of Exchange Rate Application – Temporal Method, All Current Method, Non-current Method – concepts only. Accounting for Foreign Branch Accounts – Cumulative Translation Adjustment Account (CTAA) – Illustration on Cumulative Translation Adjustment Account, Branch Profit and Loss Account and Foreign Branch Account in the books of Head Office.
MODULE 5: DEPARTMENTAL ACCOUNTS
Introduction – Meaning – Advantages – Disadvantages – Method of Departmental Accounting – Basis of allocation of common expenditure among various departments – Types of Departments and Inter-Department Transfers at Cost price and Invoice price – Illustrations on Preparation of Departmental Trading and Profit and Loss Account including inter departmental transfers at Cost Price only (Vertical Format)
